Forex Market News:
- FSA head critical of PM Brown in relation to the current financial crisis.
- German GfK numbers better than expected.
- UK HPI numbers worse than expected.
- RBS records largest corporate loss in UK history.
- UK taxpayerto guarantee GBP300bio worth of RBS’s toxic sludge.
- German unemployment change better than expected.
- Euro Zone M3 money supply numbers down.
- Darling wants RBS’s Goodwin to hand back massive pension.
- Dresdner Banking Unit pushes Allianz to huge Q4 loss.
- To view a complete table of this mornings data releases and their relative expectations were please click here. It will also give you a run down on what is remaining this evening.
Forex Market Goings On:
- The EUR/USD and the Cable headed a little higher in early European trading on the back of a big move by RBS in morning equities trading amid the hope it will avoid nationalisation. This move was short lived and saw Cable trade back below 1.4200 to a low of 1.4160 and most importantly managed to hold above 1.4100 which keeps the way open for a move back to 1.4600.
- The USD/JPY just could not get through whatever is sitting at 98.00 at the moment. Despite looking bid to the moon for the majority of the day it has only managed a high of 98.02 whilst trading in a narrow 97.70/02 range during morning European trading.
- The EUR/JPY has managed to break above the all important 125.00 resistance and has spent the majority of the morning consolidating above this level in a narrow range. If we can continue to hold above 125.00 the 130.00 level becomes the next point of focus.
- The AUD/USDhas not done a great deal this morning but continues to look like it wants to revisit the 0.6650 level at some stage, and hopefully soon.
- Ranges: EURUSD 1.2680/1.2788, USDJPY 97.29/98.02, GBPUSD 1.4159/1.4292, AUDUSD 0.6459/0.6514, USDCAD 1.2479/1.2578, EURCHF 1.4827/1.4911, EURJPY 123.77/125.19, EURGBP 0.8916/0.8917.
- I have attached charts of the majors and the Euro crosses from this morning to give you an idea as to the price action so far.
- Updated support and resistance table.
